What is Horizon? The New Privacy Layer 3 on Base

Horizen (ZEN) has evolved into an EVM-native blockchain ecosystem operating as a specialized Layer 3 rollup on the Base network.

The project focuses on delivering regulatory-compliant privacy solutions for decentralized applications and enterprise-grade blockchain users.

Key Takeaways

• Horizen migrated its native ZEN token to an ERC-20 format on Base in mid-2025.

• The network utilizes zk-SNARKs and a Confidential Compute Environment to protect sensitive user data.

• A fixed supply of 21 million ZEN tokens underpins the ecosystem's economic security and governance.

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Horizon: The Shift to a Modular Privacy Infrastructure

The transition to a Layer 3 architecture allows Horizen to leverage the security of Ethereum while maintaining high scalability.

By using the Zendoo protocol, developers can launch modular appchains that are customized for specific business or privacy requirements.

This modularity ensures that high transaction speeds do not compromise the network's ability to provide verifiable zero-knowledge proofs.

Data shows this structural shift has significantly lowered gas costs for private onchain transactions compared to legacy privacy chains.

Read more: What Is Tokenization and How Real-World Assets (RWA) Work in Web3

Advanced Privacy and Compliance Features

Horizen (ZEN) differentiates itself by offering privacy tools that remain compatible with global financial regulatory standards.

The Confidential Compute Environment enables the execution of smart contracts where inputs and outputs remain encrypted but auditable.

This technology is critical for institutional DeFi and healthcare applications that require strict data protection and transparency.

Users can interact with these private environments using standard Web3 tools, bridging the gap between legacy privacy and modern EVM compatibility.

Ecosystem Growth and the Zenrise Initiative

The recent launch of the Zenrise platform in February 2026 marks a new phase of community-driven growth for the network.

Zenrise incentivizes users to participate in the ecosystem by completing tasks that stress-test the new Layer 3 infrastructure.

Ongoing staking rewards and ecosystem grants are currently being deployed to attract liquidity and innovative dApp developers to the platform.

The roadmap for 2026 includes further integration of cross-chain privacy features to expand Horizen’s reach beyond the Base ecosystem.

Conclusion

Horizen has successfully repositioned itself as a leader in the next generation of compliant blockchain privacy.

The move to Base as a Layer 3 rollup provides the necessary technical foundation for mass-market Web3 adoption.

With a capped token supply and a focus on verifiable compute, Horizen offers a balanced approach to decentralization and utility.

Investors and developers should monitor the ongoing Zenrise program for insights into the network's expanding user base.

FAQ

What is the maximum supply of the ZEN token?

The ZEN token has a fixed maximum supply of 21 million, mirroring the scarcity model popularized by Bitcoin.

Why did Horizen migrate its token to the Base network?

The migration to Base as an ERC-20 token allows for better integration with the broader Ethereum DeFi ecosystem and reduced transaction costs.

What are zk-SNARKs in the context of Horizen?

zk-SNARKs are cryptographic proofs that allow one party to prove a statement is true without revealing the underlying data.

Is Horizen still considered a privacy coin?

Horizen has shifted from a simple privacy coin to a comprehensive privacy ecosystem supporting smart contracts and Layer 3 rollups.

How can I participate in the Horizen ecosystem in 2026?

Users can engage through the Zenrise platform, participate in ZEN staking, or develop private applications using the Zendoo protocol.

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